An Auckland-based property investment company has taken a 25 percent stake in a billion-dollar project to develop a commercial, residential and hotel development in central Queenstown.
The Lakeview development will be built on the former Queenstown campground site, the largest remaining area available for development in the centre of the town.
Augusta Capital's partner in the project is Melbourne company Nintey Four Feet, which will hold a 75 percent stake.
The project is likely to be built over a 10-year period.
Augusta managing director Mark Francis said the project would include high-end hotels and residential but it would also have entry-level as well.
"Trying to cater for first-home buyers in Queenstown, worker accommodation so it will be a real variety across three hectares of developable land and what we are acquiring, there is certainly room to do plenty on there."
He said the $1b-plus project would be heavily staged.
"The location is fantastic, the topography of the site is unique for Queenstown as it is very, very flat and the proximity to Queenstown-central is brilliant," he said.
"The exciting thing for Augusta is the opportunity to take the developed product as it is completed and move it into across our different funds, our tourism fund, residential fund and the like.
"The investment is consistent with our positive view of the Queenstown market."
The company recently acquired a site in Man Street for a hotel development, which will eventually be picked up by the Augusta Tourism Fund, when it is established later this year.
Mr Francis said he was not ruling out other investors joining the Lakeview project.
"It's not out of the question but it is not the plan on day one and a 10-year project these things can evolve but today we are very happy with the consortium."